What is Insurance auction

Insurance companies often conduct auctions to sell out damaged cars known as salvaged cars. Accidents or any natural calamities leave cars beyond repair. Generally cars do have insurance. But if it is found that the extent of the damage is quite heavy and the repair cost will actually stretch beyond the insurance worth, the insurance companies give those cars in auctions. Insurance auctions are popular in almost all countries as the manufacturers can get valuable car parts in a lesser price from these auctions. Often there are repairable damages that can be easily restored.

Primarily the participants of this insurance auction include dismantlers, scrappers, dealers, rebuilders, exporters and other licensed business organizations. The cars which are auctioned are damaged from accident, flood or are stolen cars, recovered by policemen but are not in a form to use. Insurance auction has become so popular that international participants are eager to take part in USA insurance auctions. For them it is the only way to get some good USA made car-parts in not so exorbitant price. With auctionexport.com, it is now quite easy to take part in USA insurance auctions.

Yet, there are a number of facts that the experts warn about before one starts to bid for a salvaged car in an insurance auction. The reported accident about the car may not be true, though you have no other option than to believe in the sellers words. So get prepared for a greater disappointment. Moreover, you have to arrange for a legal ownership of the salvaged car, after you buy it.